How to Avoid Marketplace Scams When Buying Heavy Equipment

Tips Discussed

• #1. Trust Your Gut
• #2. Ask Specific Specific Questions—Preferably Over the Phone
• #3. Insist on Physical Inspections Going Beyond the Pictures
• #4. Use a Licensed Escrow Service Recommended By Your Bank for Payment
• #5. Avoid Sharing Personal Information

Transcript:

(This transcript has been lightly edited for enhanced readability.)

Ken:

So, how do you avoid buyer scams while shopping for heavy equipment or commercial trucks online? That's the question we're here to discuss today on this episode of Buying Bigger Better Academy. 

To help us answer this question is Will Bowman, the Director of Sales from mylittlesalesman.com.

And as a quick reminder to listeners, there's no need to take any notes since the full transcript of this episode will be linked in the description. Will, thank you for helping us today for a second recording.

Will:

Sure, no problem at all.

Ken:

So, in this episode, we're going to be looking at five tips to help buyers avoid scams when purchasing commercial trucks or heavy equipment online—particularly through online marketplaces. For the sake of this episode, let's pretend I'm a buyer looking for a new skid steer or maybe a backhoe or similar heavy machinery. I’ll be looking for advice from Will, who has been in this industry for a long time, to help me avoid scams on various online marketplaces.

We’re going to go through five tips, and I’ll let Will elaborate and tell us what we should be doing in these situations.

So, starting with the first tip:

#1. Trust Your Gut

What does that mean? If it feels too good to be true, it probably is, right?

Will:

That's exactly right, Ken. Your gut instinct is going to guide you. You’ll know immediately when you're searching and come across something that seems too good to be true—like, "This is the greatest deal I've ever seen on one of these items." That should be a red flag.

In today's market, you can certainly find deals, but if it’s the best deal you’ve ever seen, start doing more research. Hopefully, it is the deal you think it is—but let’s make sure you’re not being duped.

Ken:

Good advice. Let’s make sure those prices match up across the board.

Will:

Right.

Ken:

So, tip number two. 

#2. Ask Specific Specific Questions—Preferably Over the Phone

Why wouldn't I just shoot off an email to ask about the equipment I’m looking for? Why is it better to hear a voice over the phone?

Will:

It’s easier for someone to deceive you when you don’t hear their voice or see their face. They’re hiding behind a keyboard, and they can make you feel or think whatever they want because you don't have the opportunity to hear the inflection in their voice or judge them by the Q&A that you could in a phone conversation. 

I’d even take it a step further and use FaceTime. Then you can not only hear them but also see them. Ask them to show you the item you’re interested in purchasing. Is it what they say it is? Does it sound like it should? There’s a lot of information you can gain by using today’s technology to protect yourself.

Ken:

Sounds good. So maybe FaceTime, Zoom, or some other kind of video conferencing?

Will:

Absolutely.

Ken:

Alright.

#3. Insist on Physical Inspections Going Beyond the Pictures

What does that mean for a buyer—especially if the equipment is far away and they can't inspect it in person?

Will:

Sure, if the item is nearby, it definitely behooves you to physically inspect it—boots on the ground, hands on the equipment. Does it sound, look, and operate the way it’s supposed to? 

Now, if the item is across the country, there are third-party services like inspectors or appraisers you can hire. While you might pay a little more, it’s worth it when you’re dealing with expensive items. Spending $500 or $1,500 to have someone inspect a $20,000, $30,000, or $50,000 item before you wire the money could be a smart move.

Ken:

Sounds like a small price to pay for some reassurance.

Will:

Exactly.

Ken:

The fourth tip is:

#4. Use a Licensed Escrow Service Recommended By Your Bank for Payment

Why wouldn’t I just use Venmo or another quick payment method if I feel good about the transaction? Why go with an escrow service?

Will:

A licensed escrow service—sometimes provided by your bank at no charge if you’re a member or for a small fee—protects both the buyer and the seller during the exchange of money and product. It’s another layer of protection, especially if you’re being pressured to wire money quickly. 

If someone says, “There’s a lot of interest (in this product), you need to send money now if you want me to hold it.” That’s a red flag. 

Do your due diligence—hope to get the good deal, but inspect the item, see it in person, make sure it’s legit, use an escrow service, and protect yourself from scammers who might disappear after you send money.

Ken:

That sounds like a great way to protect yourself, leading us to our fifth tip: 

#5. Avoid Sharing Personal Information 

If a seller asks for your home address or which bank you use, what information should you avoid sharing and why?

Will:

This goes back to trusting your gut. What are they asking for, and why do they need it? Is this someone you trust? If you're using an online service or escrow service, your information is protected. You don’t know the seller from Adam, so be cautious about giving out personal details. 

Using services designed for these transactions ensures your information stays safe. Trying to save a few hundred dollars for “the deal” by circumventing these protections could cost you much more in the end.

Ken:

Good point. Are there any other final tips for someone looking to protect themselves beyond the five we’ve discussed?

Will:

Yes, there are plenty of things you can do. For example, if you find an item on a marketplace, check how much it’s selling for compared to similar models on other marketplaces. If there’s a huge discrepancy in price—like the one you’re looking at is $20,000 less—that’s probably a red flag. 

Use Google to search photos of the items you’re interested in. Are they listed in other places? Have they sold recently? Take advantage of today’s technology to protect yourself. 

Buying online is convenient, and there are safe ways to do it—just make sure you’re being smart before exchanging large sums of money.

Ken:

Great tips. Thank you, Will, for joining us today and sharing these five tips, along with the additional information. We really appreciate it.

Will:

Yes, sir. Thanks for having me.

Ken:

And for everyone listening or watching, make sure to like, share, and subscribe on YouTube. Share this with your friends who might be in the market for heavy equipment to help keep them safe from scammers. Doing all those things also helps the algorithm push this content in front of more people so fewer people get scammed.

It’s always a good idea to report anything suspicious you see on any marketplace. If something doesn’t seem right, bring it to the marketplace’s attention. They would appreciate the chance to investigate and remove any scams.

Will:

Legitimacy is key for any marketplace. We do our best to eliminate scammers, but their methods constantly evolve, so it’s hard to keep up. If you feel you’ve been misled, we definitely want to know about it. The legitimacy of our marketplace is crucial.

Ken:

Absolutely. 

Just a reminder—this podcast and episode are brought to you by mylittlesalesman.com, which has been around since 1958, connecting buyers and sellers of heavy equipment, trucks, industrial machinery, and more. Head over to mylittlesalesman.com to start your search.

Thanks for tuning in to Buying Bigger Better Academy from your friends at My Little Salesman. We’ll see you next time.